Question 1

What is CPF accrued interest?

Accepted Answer

Accrued interest is the interest your CPF Ordinary Account would have earned had the money never left it. When you use CPF for a property, you must refund both the principal withdrawn and that foregone interest to your Ordinary Account on sale. It is computed at the prevailing OA rate, currently 2.5% per annum, compounded monthly, and it keeps growing for as long as you hold the property.

Question 2

Do I get the CPF refund as cash?

Accepted Answer

No. The refund goes back into your CPF Ordinary Account, not your bank account. You can use it again towards your next property subject to the prevailing rules, but it is not spending money, and the accrued interest portion never existed as cash at any point.

Question 3

What happens if my sale price does not cover the CPF refund?

Accepted Answer

If the flat is sold at or above market valuation and the proceeds are insufficient after the outstanding loan is discharged, the shortfall in accrued interest is generally not required to be topped up in cash. The rules differ by age and by the circumstances of the sale, so the position should be confirmed against your own CPF statement and the prevailing CPF Board rules.

Question 4

Where do I find how much CPF I have used on my flat?

Accepted Answer

Log in to the CPF website and look for the property withdrawal statement. It shows the principal withdrawn and the accrued interest to date for each property. That statement is the authoritative figure; a calculator only estimates it.